Skip to main content

tv   MONEY With Melissa Francis  FOX Business  January 1, 2013 5:00pm-6:00pm EST

5:00 pm
5:01 pm
>> happy new year, everyone. i'm diane macedo joining you live from fox headquarters in new york. we're continuing to following the breaking news in washington. we're waiting for the house of representatives to vote on the fiscal cliff deal that the senate passed early this morning. top republicans have already come out against senate bill. the fate is very uncertain. let's get latest from rich edson on capitol hill keeping track of all this for us. markets closed on the upside on hopes we would have a deal. does it look like we will by the time markets open tomorrow? >> diane this, is all hon hold. republicans ha the major concern mainly the lack of spending cuts. they all get together, 5:15, 15 minutes from now. they will start to hash this out or continue to hash this out and there is really no sense what house republicans will do with this. house democrats had a meeting this morning with
5:02 pm
vice president joe biden. they say they're not sure the number of sport they can get from house democrats. but they say that the republicans should allow a bill to hit the floor the one that passed the senate last evening with 89 votes. we talked to a number of different republicans who want to change this bill, alter it. if that happens, if republicans decide to add spending cuts or change taxes or do anything to this proposal it would have to go back before the senate to be passed again and pass completely from congress before it goes to the president's desk. i talked to one republican about the concerns. what about senate majority leader harry reid if he says there is no deal because republicans have gone back on their deal? republican basis said, reed already sidelined himself. >> i think senator reid gave up his right to righteous indignation when he passed a bill that simply dealt with the taxes and didn't have a balanced approach, something that the president said he would have. remember, senator reid went home and went to bed and the
5:03 pm
negotiations were back home and went to bed. i would certainly hope that reid would realize he gave up his leadership on this bill sometime ago? >> house republicans gather in just a few minutes again, diane, looking for way forward. will they not vote on the proposal? will they give it up-or-down vote or will they attempt to change it? all three options remain on capitol hill already beyond the fiscal cliff. diane. >> rich, these are big names coming out so far. congressman issa no small fry there we also heard from eric cantor that he is against the bill. how damning is it that top republicans are coming out saying they're opposed to deal? >> that is very problematic. that could be a situation where a number about republicans say, look we have tax rates that have gone up. it is beyond january 1st, midnight. what this represents, this proposal is a tax cut, a major tax cut, basically for anybody, any family making less than $450,000 a year.
5:04 pm
on top of that, you also got this next round upcoming that of a debt ceiling fight. there are republicans like senator lindsey graham who are saying look, make sure you take the debt ceiling fight with your spending cuts, for the spending cut fight. why don't we make sure we cut taxes now and move onto that next round? that is a feeling among a number about republicans here. you have a significant amount of democrats, perhaps who could potentially come along with this. it is still so early in the stage, can't believe we're saying it is early in this because it is beyond the fiscal cliff deadline and into new year's day. still lots of to be worked out. a lot of uncertainty, diane. >> less ttan 24 hours before the markets open and still no deal. rich, we appreciate you keeping track of this. especially with the meeting coming up at 5:15. thanks so much. >> thanks, diane. >> that is the latest everybody, on the negotiations with washington. we'll be back at top of the hour or we'll break in anytime we get more news. fox business will be live tomorrow morning 5:00 a.m.
5:05 pm
for special coverage as markets react to all of this. i'm diane macedo. we'll return now to our regular programing. >> this has been a fox business special report. we now return you to your regularly scheduled programing. >> the ceo and the senior management with the interest of the shareholder and i don't think anybody objects to paying ceos or coos a good dollars if the company is successful. what they object to is sweetheart packages, if the company doesn't do well and the senior management still does well. and that doesn't happen at kinder morgan. melissa: pretty refreshing to hear that kind of lodge quick from a ceo, particularly from a an industry giant. speaking of energy industry giants now that the election is over what will happen with the keystone xl pipeline? it is planned to stretch from canada to the gulf of mexico and has been plagued with controversy since day one. construction on the southern leg is underway but the northern section is still up for debate. transcanada hopes its most
5:06 pm
recently revised route will ease concerns over nebraska's environmentally sensitive sand hills region and i had a chance to ask ceo russ germing to lay out the details. tell me about the route. hopefully we can put the picture up again. there are a quite a few little loops along the way to make sure it doesn't touch this environmentally sensitive area. in a way are you sort of calling the president's bluff, saying, well, we have done everything we're supposed to, now approve it? >> i think we've done that, we've done everything that we are supposed to do for the whole process that started well over four years ago. and, this is just the latest, you know, adjustments we made to the route. the route has had many adjustments since we started. you can see by the map we moved the route essentially out of the sensitive sand hills area as it was defined by the neeraska department of environmental quality. the original proposed route
5:07 pm
we submitted in april went under further review with four public comment meetings. which gets you down to the minute level of review. we look at dug outs and those kind of things with landowners. we try a route around whatever sensitivities were araised. 675 landowners raised issues. through the process, ndq in july summarized that along with their own comments. this proposal was a response to those comments where i think we got down to the most minute detailed level of where those concerns were and done our best to address them. melissa: it looks like it. real list lick what do you think happens here? do you think anything happens before the election. >> what we've been told the nebraska department of environmental quality will reach at conclusion by the end of the year and make a recommendation to the governor. assuming he signs off on that the department of state has said that they will make a decision in first quarter of next year.
5:08 pm
that is the time frame we're working from today and at least at this point in time nobody's made any adjustments to that set you will. that the one we're working towards and working hard to make that happen. melissa: let me get that straight, you think after the election that is when something happens? >> that is the schedule we're working on right now, a decision occurs sometime in the first quarter of 2013. but obviously the sooner we get that done the sooner we can put americans that want to get to work on this project back to work. melissa: how many by the way? how many americans? how many jobs would this create? how much oil would it bring to the u.s.? >> the, the jobs created on the gulf coast section that we currently have under construction which you mentioned earlier there's about 4,000 people that we put to work, professionals, pipe fitters and, welders, laborers. on the keystone xl portion of the pipeline it is about 9,000 direct construction jobs that will be created as a result of starting
5:09 pm
construction. melissa: are you frustrated by how political this has gotten? >> obviously it is not a place where any company wants to be to be in a project that has attracted as much attention as this has done. we've done our best just to comply with the regulatory process and get our job done. obviously not where we want to be. you know, it has been, as i said over four years now. the most comprehensive review one could imagine for a project like this. melissa: yeah. >> the benefits of that will be americans will get the safest pipeline ever built when we get it done. it will bring secure supplies to america in the safest possible way. melissa: what has it cost you and your shareholders that you have become political and this flowed down so much? what do you estimate the cost of it? >> i wouldn't put an estimate of costs. we want to make sure we get things done right but obviously we've got about $2.5 billion into this project in its entirety today. melissa: wow. >> on the keystone xl
5:10 pm
section alone it is $1.5 billion into the project. the sooner we can get that, that capital productive, that is good for, as i said, the jobs it will create. but at the same time, oil will start flowing. we'll improve security supply and obviously from our shareholders perspective that will be money that starts to earn and at the current time that is not earning any return for us. melissa: well, it will be a shame if this pipeline doesn't come to fruition because we know that oil in canada will end up going over to asia. russ, thank you for coming onto the show and making your case. best of luck to you. >> thank you very much. melissa: and of course we'll continue following the progress of the keystone xl pipeline very closely. it will be very interesting to see how this all plays out. now you heard rich kinder say fracking is good. let's take it a step further, when i spoke to an environmentalist, he said fracking actually makes us richer and pollutes less than other alternatives.
5:11 pm
he allo calls fracking quote, by far the decade's best green energy option. he started off our interview by saying that in the u.s. carbon emissions are at the lowest level they have been at in 20 years. >> actually, per capita you're down what you emit back in eisenhower. melissa: isn't that people are driving less and people are buy being their priuses and everything else? >> there is tiny bit of that. but the vast majority is because you have stopped using coal to produce electricity. and you started using gas. we've gone from gas use used to be 20% and coal 50. now 32, 32. basically making fracking so cheap you have achieved what nobody else was able to do. namely wee dramatically lowered our carbon emissions. he lowered it twice as much, what everything else, european union, kyoto protocol managed to do. melissa: there is such a flood of natural gas on the market right now we've seen the price absolutely plummet.
5:12 pm
granted it was hurricane katrina times. it was up to $15. now it is down to two bucks. it is so cheap, and it is so plentiful. a lot of people don't want to embrace this is good for the environment because after all it is a fossil fuel. >> it is. it is not an end to solution to climate change. we tried for 20 years with kyoto and e.u. wanted to do a lot of good. i'm from europe. we ended up paying 20 or $30 billion to cut carbon emissions what you guys have done, done it for free. actually you've made money doing it because you also got cheaper energy. that is the way forward. also for china and india and everyone else. melissa: that is the argument too, a lot of people proponents of solar and wind whatever don't want to hear. while fracking has been profitable it has helped the environment. at the same time you look at things like there was this big story today out of wyoming where encana is drilling and there's a well is contaminated one way or the other. seems like it from the
5:13 pm
reports. they're dealing with all this. the neighbors in the neighborhood are saying pavilion, wyoming, this is a result of the fracking going on nearby. there is a case they would point to saying it is bad for the environment. >> listen there is nothing just fine. fracking also has its problems. we should definitely have it well-regulated. most water you get is from 100 feet down and most fracking is like a mile down. not like the two are intersecting you have to drop your ddill through the water. you need to insulate that you need regulation. melissa: right. >> you have to recognize if you care about global warming, if you care about cheap energy prices and if you care about energy independence this is a great opportunity and a lot of people in the business make the point when you see something like this there is always mistake in the well and something went wrong as opposed to pollution as a result of general fracking going the way it was supposed to. you also make the point it has lowered energy prices which is absolutely true. and that it is going to make us more energy independent. the problem is though it
5:14 pm
doesn't replace. it doesn't replace gasoline. you're talking about swapping it out for coal. so it doesn't solve maybe one of the biggest problems. >> we weren't running out of coal. you have plenty of coal. especially trucks arepanies, starting to talk about let's move our trucks to gas instead of gasoline. and that of course would lower your, increase your independence. and of course also the fracking of oil looks likely to happen with the exact same outcomes. so in reality this is a technological breakthrough. melissa: yeah. >> that provides us with a lot of benefits. and this is really where i want the environmental debate to get back to. we've been preaching for 20 years could you please do with less? could you switch off the light? that is a very, very hard sell. melissa: yeah. >> if you can come and say there is technological solution that makes you richer and is polluting less, hey, everyone will embrace that. melissa: fracking for oil becoming much more prevalent now but natural gas is the sweet s.p.o.t. when it comes to price. thanks for coming in on.
5:15 pm
very interesting i love his point asking people to make do with less isn't the way to go. it is much more effective to say the technology of fracking could make you richer. ho wouldn't go for that, right? next on "money" investor ares singing the blues after the election but don't despair, don't give up, it's okay! we have four things to keep the cash rolling in no matter what. plus is iran's answer to financial stability gold? reports say the country is importing billions of dollars worth. we'll tell you why. more "money" coming up. dry mouth may start off as an irritant.
5:16 pm
it'll cause cavities, bad breath. patients will try and deal with it by drinking water. water will work for a few seconds buif you're not drinking it, it's going to get dry again. i recommend biotene. all the biotene products like the oral rinse...the sprays have enzymes in them the whole formulation just works very well. it leaves the mouth feeling fresh. if i'm happy with the results and my patients are happy with the results, i don't need to look any farther.
5:17 pm
5:18 pm
5:19 pm
♪ melissa: okay. staid it before, and i'll say it again. moving forward here on money, and i want to help you do that too. you know, some people may be thinking we're stuck with another four years of esident obama's economic policies, higher taxes, more debt, but you can make money. i promise! i recently got the low down on exactly what to do from spencer patton, the chief investment officer at steel vine invements. he started off giving his recipe on how toandleax changes for
5:20 pm
capital gains and dividends. >> capital gains taxes are going higher. it's just a matter of how much higher they are going. the smart thi to do, whether you own a business or own stocks is to sell. if you hold from december 31st to january 1st, you're taking somewhere between a% to a 15% hit because you're going to be paying more taxes. it's rising from 15% on longerm term capital gains. first, raise capital. sell what has been winning foru. you. melissa: get out while the getting is good. we saw that in the target -- stock market the past two days. the second thought is buying a single family home, how come? wh >> do what warren buffet does. it's a great strategy. if you can do anything, he would bu 40,000 single family homes and use them as rentals. that makes sense here because if you can get a loan, you can get rentals, which are incredibly attractive now and get a good
5:21 pm
passive income for yourself to giving you the chance to have gains as well on the price of the home, eventuallyiati appreciating. melissa: eventually when e the x policy changes. good you brought it up about buffet because we'll talk aboutt that in the show, another grea idea to make money from thelk a realize play he's in. the third idea is gold. >> right.e th since the beginning we've been keeping records, there's a great chart that shows as the monetary base grows, so does the price oe gold. back in 1930, an ounce of gol would buy you a fine men's suit. today, one ounce of guy s today one ounce of gold will still by you a fine men's suit. it is great protection of your purchasing power. gold is an amazing safe haven to be and it is a long-term investment. don't look at it for six months or one year. it is a good place to have your portfolio that will have get you some protection. melissa: final ideas being defensive in stocks. what do you mean by that? >> i don't see anything
5:22 pm
attractive that says i have to go out and buy stocks right now. they're still within 10% of their all-time highs even with the pullback. so stocks, you may be able to present an argument that says that they're cheap but i don't know that we're past everything that has to come to light. all the debt debate. the fiscal cliff. the capital-gains taxs. there is no compelling reason to buy over the next two to three months. let some of this pass, use your assets in other places. raise some cash. then you will be in a much better position to make yourself a lot of money once 2013 starts. melissa: the thing all of your ideas have in common this idea of hungering down and having this investment over a long period of time. why wouldn't you hunker down within the stock market? because you have to give president obama credit that, you know, whether it has been because of the fed and easy money or whhtever it has been the stock market has done well. would you buy some favorite stocks and just plan on holding them through the entire next four years? >> you know i have always been an advocate of buying
5:23 pm
stocks that pay high dividends but the dividend taxes going from 15% up to 40 and that take as huge wind out of the sails for that argument. so, you know the timing is everything. timing was good to buy stocks at the beginning of obama. now not necessarily so much. housing is a great place to be because it's cheap. melissa: i have to say i felt better after hearing spencer's ideas. don't you feel better? come on. we'll bring you great advice like that from top experts. it is about looking ahead and knowing what to do with yoor money. coming up iran thumbs its nose at western sanctions. we'll explain how it is using billions of dollars worth of gold to stay financially afloat. plus what goes up, must come down. unless you're red bull's brand. how fearless feel like's record-setting space jump may have revolutionized the world of marketing. do you ever have too much money? no way.
5:24 pm
she knows you like no one else. and you wouldn't have it any other way. but your erectile dysfunction - you know, that could be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right. you can be more confident in your ability to be ready. and the same cialis is the only daily ed tablet approved to treat ed and symptoms of bph, like needing to go frequently or urgently. te your doctor about all your medical conditions and medications, and ask if your heart is healthy enough for sexual activity. do not take cialis if you take nitrates for chest pain, as this may cause an unsafe drop in blood pressure. do not drink alcohol in excess with cialis. side effects may include headache, upset stomach, delayed backache or mule ache. to avoid long-term injury, seek immediate medical help for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision, or if you have any allergic reactions such as rash, hives, swelling of the lips, tongue or throat, or difficulty breathing or swallowing,he lips, stop taking cialis and get medical help right away.
5:25 pm
ask your doctor about cialis for ily use and a 30-tablet free trial. we replaced people with a machine.r, what? customers didn't like it. so why do banks do it? hello? hello?! if your bank doesn't let you talk to a real person 24/7, you need an ally. hello? ally bank. your money needs a an ally.
5:26 pm
5:27 pm
5:28 pm
♪ melissa: turning to the middle east here on "money," iran is experiencing crippling inflation because of the latest e.u. sanctions, but reports now say that the country is responding by importing substantial amounts of gold. in fact, official turkish trade data shows nearly $2 billion worth of gld was sent to dubai on behalf of iranian buyers in august alone, just august. this is just on the heels of iran announcing they are invested $100 billion to boost oil and gas prodtion. is this how they are getting the money to pay for it? i asked the founder and president of the american
5:29 pm
islamic forum of american democracy. there's great reporting on this saying that their sources saym couriers carrying millions of dollarses worth of gold in theie luggage flying from istanbul tot dubai where the gold is shipped to iran. what do you think? does this sound plausible? what does that mean? >> oh, absolutely.y. i'm glad you're covering thisd becae,ou know, it's the untold way of bypassing the sanctions against iran which have been somewhat efftive. i mean, we saw it drop 30%, inflation up 50% as iraniansoing citizens are concernedbout theaa value of their own monetary values sot the end of the day,ht what's happening is they, forey example, turkey is shipping gold. iran is selling its oil, and turkey's paying for it through it, but then they convert it to gold. iran gets paid in gold and uses that gold to buy other productss around the world, and they continue to function in an economy with china, india, south
5:30 pm
korea, and other countries nothr buying into the sanctions, and, thus, they continue to crte app economy frustrate sanctions. talk about this, expose it, impose harder sanctions on iran. melissa: what is it we can do about this? >> well, you know, i think it'st more complicated than that in that first of all, turkey supposedly is in a approximatey civil war against iran and syria supporting the opposition so either they ar speaking the truth or openly lying, and we can have a much stronger statement from the president looking for regime change inia syria, and all the while turkey funneling millions of dollars to iran. one is a war of words.war second, is also other partners s like dubai who supposedly is ani ally that also is just a hundred miles across the sea from iran, and shifting also some of that gold to them so we have other. players. india's an ally, other allies
5:31 pm
subverting sanctions through the new identity list gold economyys providing $1 billion to $2 billion a month bypassing t sanctions. melissa: when i heard they were investing in trying to boost oit output, i thought, no, i don't believe that because where are they getting the money, but now you see where they are getting the money. in a lot of ways, it seems like this investment is unstoppable. the whole thing seems unstopeble. >> well, remember, there is somm impact from this sanctions, but they can make up numbers aboutay its own investment. i don't think they have $100 billio if they did, the price of the food would not go up 50%e as it has in the last year. 5 they are exaggerating numbers in order to do their own bailout and tell the country their bai dollars are good, investing in the petro gold economy, i think it's luster.
5:32 pm
they are exaggerating to tell the people to have confidence in the oil, the oil industry, i selling 22% to china and 13% to india. melissa: fascinating insight. he's always able to cut through the noise. we'll follow what happenin in iran and bring you the latest developments. all right, next on "money," will tax hikes for the rich kill economicgrowth? i say, of curse, they will, but a huge supporter of the increase is here to disagree with me. breaking out the calculators. you don't want to miss it. it's a fight to the death. plus, fearless felix redefines "awesomeness," the super sonic space jump just doesn't break records, but sends red bull's brand into the stratusophere. piles of
5:33 pm
5:34 pm
5:35 pm
john is 42. mortgage. married. two great kids. he wants to protect his family with a $500,000 term life insurance policy. what do you think it'll cost him? a hundred dollars a month? sixty? forty? actually none of the above. john can get a $500,000 policy -from a highly rated insurer - for under $25 a month. his secret? selectquote. selectquote is impartial. they'll search the pick of insurers like theseo give you a choice of your best prices. selectquote has great savings on term life for women, too. john's wife carrie, can get a $500,000 policy for under $1a month. selectquote has helped make term life insurance affordable for hundreds of thousands of people since 1985. how about you? just call this number or visit selectquote dot com.
5:36 pm
♪ melissa: so whether you earn $250,000 a year or not, you're going to feel the effects of the tax hikes on the wealthy. why? because it's going to kill economic growth, and that could make it harder to get a job. it seems obvious to me, but a new congressional budget office
5:37 pm
report nixes the topic. the directer of exterm government affairs with economic policy institute thinks the report proves me wrong. never. fortunately, he was brave enough to come on and disagree with med >> clearly, we released findings several weeks ago, niceto see it confirmed by the congressional budget office. it's not to say when you increase taxes there's economic consuences. of course, there are.e it will cost jobs. melissa: done, deba over. >> it cost jobs less than doingm other things.ss melissa: like what?a:>> >> if you read further in the report, it talks about the expiring payroll tax cut as well as provisions on unemployment insurance will actually cost up to five times as many jobs as t tax cuts for the rich. there's betterays to usellar public dollars than tax cuts for the rich.'re that's all we're saying. melissa: i don't know why you want to raise taxes on anyoneyoe when the economy is basically
5:38 pm
stalled.ms seems crazy to me. >> well, at some point, eveone s says in washington we have to do someing about the deficit, and here's a good place to start.str if you need to actually bring i, revenue, the best place to do it is whe it does the least harm.ht that's on tax cuts for the wealthy. that's something that's really unassailable. now, if we were in conditions wh we didn't have any deficit i issues, of course, we wouldn't have any ned to raise taxes on anyone one, but we have competing priorities and have to find a w to pay for them. melissa: we have a spendingwe problem, h drunken sailors, a credit car to run forever, and we just can't. >> that also has consequences.ee as everyone knows with the looming so-called fiscal cliff discussion, if you cut too muchu you also drive th economy into an abyss so, you know, we'd all like to say we cut spending and live within our means, but it's not as simple as that.ple you can also cut spending too much so that you actually hurtrt the economy you're supposed to
5:39 pm
help. melissa: so, i agree with whath you are saying, and this is too civil. i got to derail it somehow or else it's no fun; right?in what's the point in doing it. >> bring it on, melis,ring it on. do lissa: there's many times in the past where we've loweredn mortgagal rates and increased revenue.es if i were to conceive it's a revenue problem, it -- which i'm not going to, but for the sake of argument, under for kennedy, reduced the top re from 90% to 70%, in and in that time, revenue into the treasury went up from $94 billion to $15n billion by lowering the marginal rate. right there, there's your guy. look at him. >> you kno we can look at that, but, remember, that was i the 1960s #. the problems we have today are a thele bit different the problems in the economy right now, the reason that we're in this economic malaise is because we havthe a big gap between what the economy is producing andnd what it can produce.
5:40 pm
the way to fill the gap or shrink it is to get people outd there buying things and spending money. tax giving tax cuts to people --out melissa: talking about raising a taxes, i agreegr with you. we have to have people investing, buying, so raising taxes on anyone is then super i crazy. >> yeah, buts if you take tax increases oneople spendingss less because they already got af whole buh of money and investing in ways to get people who do not have as much to spend more, at's efficient. that makes sense. go ahead.ney. melissa: rich people spend a lot of money. >> they have the mon, they are spending it.they they will not spend less because they have a marginal tax rate increase. it's not like all the sudden, you know, bloomberg or romney says we can't go to dinner next week. they will still spend money. it's a matter ofaying how doho we get people who are not at that level to have conditions
5:41 pm
where they can spend. melissa: in the 80s, they lower tax rates issue and revenues go up, and revenues, 1981 to 1988, from $599 billion to $909 # billion. i'm just saying if the problem's revenue and you want more money in treasury, there seems that's a period of time we did it ti defentivelaccording to the math. >>hat is true, but we also, you know, looked at the 60s and the 80s, look at the 2000s with the most recent tax cut regime. what did it to in te economic recovery, gave up the worst performance in economic growthrr and worst performance in job creation. melissa: i don't know if that's what caused it. >> you can see tax cuts are not necessarily the solutions in all circumstances. melissa: all right, christian, thanks for disagreng with me. it was a lot of fun. i love when people disagree with me, but i told christian whhe
5:42 pm
comes back, i'll be less civil, i promise. all right, up next, it just doesn't get any cooler than this. fearless felix shatters the sound bearier with a record setting space dive and red bull conquering with the space with a brand coming to fruition. you got to see it. plus, a 9-year-old girl tears up the football field leaving boys eating her dust. i love it. maybe she's the answer to the new york jets' offensive woes; right? right? stick around. music is a universal language. right? stick around. but when i was in an accident... i was worried the health care system spoke a language all its own with unitedhealthcare, i got help that fit my life. spoinformation on my phone.n connection to doctors who get where i'm from. d tools to estimate what my care may cost.
5:43 pm
so i never missed a beat. we're more than 78,000 people looking out for more than 70 miunitedhealthcare.that's . tdd#: 1-800-345-2550 tdd#: 1-800-345-2550 and the streetsmart edge trading platform from charles schwab... tdd#: 1-800-345-2550givesd opportunities more easily. tdd#: 1-800-345-2550 i can even access it from the cloud and trade on any computer. tdd#: 1-800-345-2550 and with schwab mobile, tdd#: 1-800-345-2550 i can focus on trading anyplace, anytime. tdd#: 1-800-345-2550 until i choose to focus on something else. tdd#: 1-800-345-2550 all this with no trade minimums. tdd#: 1-800-345-2550 and only $8.95 a trade. tdd#: 1-800-345-2550 open an account with a $50,000 deposit, tdd#: 1-800-345-2550 and get months commission-free trades. tdd#: 1-800-345-2550 call 1-866-751-3261.
5:44 pm
5:45 pm
5:46 pm
melissa: red bull gives you wings, at least for a darevil sky diver. here's feel lix in the process of breakg four world records. he flung himself out of a balloon in the red bull spsored jump. the height reached and speed all made the jump dangerous to say the least. yet 8 million people tunedin to watch it streams live online. was that a risky move for red bull or a pr masterpie?
5:47 pm
i asked those very questions to bruce, executive creativebr directer. >> ordinarily, you'd think thatd kind of thing would be a disaster for their brand, but, member, the key to branding is to talk to the audience. red bull's audience, it's not you or me.cifi melissa: they don'tare if you die? it's not a scary thing for you? you dig it, into it? >> no, no, no, they are not dying, but their guys doing crazy things, motorcycles,mo skatebrds, into extreme sports. the kind of guys whose mother said if your frids jumped off the k roof, would dough do it also? if they were honest, they would be first. melissa: those are the y customers. >> exactly. melissa: i was listening to all the reports about this today,toa and they said there's a good chance that as eyeballs would wu explode in the head, that hisath face, the mask was freezing, and so, you know, they were pretty u sure that he was going to go g intohe death spiral, all this good pr?
5:48 pm
these things happening,th streaming live, watching thistr happenea to someone is good pr e red bull? >> think about every kid on a skateboard out there. his eyes were going to explode -- melissa: from the pressure. >> dude, dude, did you see that red bull guy? his eyes blew up. 8 million would have been nothing. it was a win-win, a brilliant masterful stroke. could be the best stunt of allf time for the time being. melissa: these people who want to watch eyeballs explode, and,t youo know, no phased by the guy potentially dying, they are smart enough to have a job and collect money to buy a product? >> of course they are. red bull sells $4.2 billion in r product a year. that doesn't mean the people drinking it don't harbor of aspiration of being this guy.e they are not wearing the suits necessarily, but they want to think they could be. li
5:49 pm
they want to think, hey, that could be me. i'm drinking the product, wearing the brand, the hat, the swtshirt, that could be me. melissa: wow. how much do you think they paid for it and how much was it worth? >> well, i don't know what theyh paid, but ifey you look at what they paid overtime, they spend about 30% ever their dollars on marging, and as i said they grossed $4.2 billion euroowes. they work in a hundred sports,ty represent or sponsor 97 athletes. they spend a lot of money.they they don't spend money on typical advertising, on measuredtizing, but on this thing. look at what they spent in a couple days when he didn't go up. they said it was $60,000 in helium. they had tohe take the balloonse out of the cases.ba once they are out, you can't use them again.m the balloons cost a couple hundred ousands dollars. they supported this the last five yearsrs. they spent a fortune. at the same time, they are going to be in the record books forin years to come. melissa: forever, forever.
5:50 pm
bruce, i learned number one, it's genius, and if i see my sons with a container of red bull, i'm taking it from them and taking them to the therapist because this is terrifying.ng bruce, thank you for coming on. we appreciate your time, good stuff. >> it was a treat, thhnk you. melissa: i've got to say it seems like it's hard for red bull or any company for that matter to top that stunt, but the sky is literally the limit. i can't wait to seehat they come up with next. coming up on "money," a daring heist that makes bonnie and clydproud. how everything from motorcycles to axes were used in the multimillion dollar mall robly. look at that. that's crazy that's next. plus, do you ever wonder what good seat belts are on a plane? according to app airline ceo, they are no good at all. wait until you hear how people should be flying. we got the details. there's never too much "money" or too many is is
5:51 pm
[ male announcer ]ow can power consumption in china, impact wool exports from new zealand, textile production in spain,
5:52 pm
and the use of medical technology in the u.s.? at t. rowe price, we understand the connections of a complex, global economy. it's just one reason over 75% of our mutual funds beat their 10-year lipper average. t. ro pce. invest with confidence. request a prospectus or summary prospectus with investment information, risks, fees and expenses to readnd consider carefully before investing.
5:53 pm
5:54 pm
melissa: time for spay change. this is my favorite part of the show. money version of the lightning round of watercooler topics. how about that? this is fun from with our very own sandra smith and david asman. thanks to both of you.
5:55 pm
watch this. you will never believe this video. they are thieves on motorcycles, inside a london mall. six men, drove into the mall with actions and bats! you can see one of them waving an axe around. this isn't a movie. this is real. they robbed a jewelry store. they made off with hundreds of thousands of dollars worth of watches, that is like one eric bolling watch. like cart at this eyes. >> that is true. melissa: police found the motorcycles at a nearby golf course within an hour but they're still looking for suspects. can you believe this. >> this is the weirdest part. they drove to a golf course melissa: yeah.otorcycles. >> good thing nobody was hurt here. >> no, no. there was a woman who had a heart attack afterwards because she was so shocked. it reminded me of the chain snatchers. you were in chicago but there was this whole era back in the '80s, late '80s and early '90s until rudy giuliani came in and straightened things out.
5:56 pm
people were snatch women's chains on a motorcycle and would drag them to their death. i'm hoping what happens in london stays in london. >> why would you go to a mall. >> for the money. that is where the money is as willie sutton said. melissa: the actions are interesting as well. you kind of have to be close. i don't know. yeah. okay. so moving on, michael o'leary, ceo of ryanair says seatbelts on a plane are pointless, because if a plane crashes a seatbelt won't save you. because o'leary wants to create standing room only cabins for student and bubble jet travelers. he says the passengers could just hang on. just hang on. >> this is a guy, wanted to charge for toilets. every time you use a bathroom he wanted to charge. >> leave it to a irish guy. >> no, it is scotts who are the cheap ones. >> i think they serve a
5:57 pm
purpose. melissa: no question. >> they have had a harsh landing. melissa: turbulence in midair. >> i was thinking about turbulence. melissa: he would offer some standing room flights for a little more than a dollar. would you -- >> he claims that there is much less turbulence in those european rourts than the united states and china. melissa: right. >> no. he is just trying to get publicity. >> a harness. strap me in like a roller-coaster ride or something? melissa: i don't know. you stand on the subway and kind of jerks to a halt and that sort of thing but -- >> it is not necessarily for landings and takeoffs.% for the moments when suddenly --. melissa: all of a sudden it drops. they say we're heading into turbulence. put the seatbelts on. then turn off your cell phone and we all know that is baloney. moving on now to supports. usc student football manager was fired for intentionally deflating the footballs in last weekend's game against oregon.
5:58 pm
officials discovered some under inflated balls before the game started and some more at halftime. but in the end, usc lost anyway. what do you think about that. >> cheaters never win! cheater never win!. melissa: really? >> makes your team look bad. did you really need to cheat to win? this apparently makes it easier to throw the football. whatever. come on. >> i hate to tell you, but in this case if they had been cheating the whole season they are winning. they have a winning season. they're not number one. ucla is on top of them in that division but they're number 2. they have a 6-3 season. i don't know how you check and make sure. i don't think you can unless you want to suspend them or something. >> this will have more regulation for college sports. let me tell you something. >> that's what we need. >> now we'll have even more rules. >> the pizza. okay. melissa: checking this out. a 9-year-old girl playing tackle football. get this she's good.
5:59 pm
>> awesome. melissa: she has run for staggering. >> run forest, run. melissa: touchdowns. conversions they thought they could use her for a drill. she has wheels. holy cow. who could out run max's little sister. that is what they're playing. she is one of the fastest kids in the salt lake city area. one time she got a little shaken on a tackle. i love it. by the way. this is obviously going to be a movie. >> disney will be --. melissa: look how fast she is. >> the problem is that she, well does get tackled occasionally and she weighs 60 pounds. in fact they say she doesn't even weigh 60 pounds. and she is up against, she is up against some tack, some of these guys are 150 pound she is up against. >> this is tackle football. >> this is tackle football, yeah. melissa: i'm not a fan. great for her. melissa: look at her, go! i

182 Views

info Stream Only

Uploaded by TV Archive on